Transferring money in Ghana has become increasingly costly due to mobile money (momo) charges and e-levies making it less attractive for many people. However, there is good news. You can avoid these hefty charges by using alternative methods for transferring money from your bank account to another bank account in Ghana. In this post, we will learn some efficient and cost-effective ways to transfer funds without incurring momo charges.
The Problem with Mobile Money Charges
Mobile money has been a convenient way to transfer funds but the introduction of e-levies has significantly increased the cost of these transactions. For example, the e-levy can add up to 1.5% of the transaction amount, making frequent transfers quite expensive. This has led many to seek alternative methods to move their money without incurring these high fees.
Alternative Methods to Avoid Momo Charges
Here are some methods you can use to transfer money between bank accounts in Ghana without incurring mobile money charges:
1. Automated Clearing House (ACH) Transfers
The Automated Clearing House (ACH) system is a network that facilitates electronic transfers between commercial banks in Ghana. It is a reliable and cost-effective method to transfer funds.
How to Use ACH Transfers:
You can use ACH by filling an ACH Request form at your bank which will instruct your bank to pay a sum certain to a named recipient. On the form, you are required to select Normal or Express option depending on how fast you want the funds to hit their accounts. You should note that Express transfers are credited to the accounts the very day the transfer is made mostly between the hours of 11am to 2:00pm depending on when the settlement takes place. Normal transfers however takes three days for Normal ACH transfers to be credited to a recipient’s account.
Transfers can also be made with banks with mobile apps. If you use your bank’s mobile app, you can following the following steps to make transfers. However, you may be confronted with limit issues when sending an amount more than GHS10,000.00. The limit may differ from bank to bank.
a. Log in to Online Banking: Access your bank’s online banking platform.
b. Select ACH Transfer: Navigate to the transfer section and select ACH transfer.
c. Enter Recipient Details: Provide the recipient’s bank name, branch, account number, and name.
d. Confirm and Transfer: Review the details and confirm the transfer.
Rates: ACH transfers typically have lower fees compared to momo transfers, and the exact fee can vary depending on your bank.
2. Issuing Cheques for Cheque Deposits
Another traditional method to transfer money is by issuing a cheque. The recipient can then deposit the cheque into their bank account.
How to Issue a Cheque
Write the Cheque: Fill out the cheque with the recipient’s name and the amount.
Deliver the Cheque: Hand the cheque to the recipient.
Deposit the Cheque: The recipient deposits the cheque into their bank account. If the recipient’s bank is different from the issuer, the cheque can still be deposited at the recipients bank through a cheque clearing system which would enable the funds to be credited to his/her account without hustle.
Rates: The cost of issuing a cheque varies by bank, but it is generally a low-cost option compared to momo charges.
3. Transfer Between Rural Banks Using Apex Link
For those who have accounts with rural banks, Apex Link is an excellent option to transfer funds between rural bank accounts.
How to Use Apex Link
a. Visit a Rural Bank Branch.
b. Request Apex Link Transfer: Fill out a transfer form with the recipient’s details.
c. Submit the Form: The bank will process the transfer through the Apex Link system – The I – Deposit option enables a direct credit from a rural bank account to another rural bank account.
d. Rates: Apex Link transfers are generally affordable, with fees varying by bank but often lower than momo charges.
While mobile money transfers are convenient, the associated charges and e-levies can make them costly. By using alternative methods such as ACH transfers, issuing cheques, and Apex Link for rural banks, you can transfer money between bank accounts in Ghana without incurring these high fees. These methods not only save you money but also ensure that your funds are transferred securely and efficiently.
